Tekes Venture Capital Ltd has made a 6 million Euros commitment to Butterfly Venture Fund III Ky. The size of the fund is nearly 13 million Euros after the first closing and its target size is 24 million Euros. Besides Tekes Venture Capital Ltd, the fund’s current investors are pension institutions, insurance companies and investment companies. The fund uses asymmetric profit sharing that favors private investors.

The fund is a first joint fund for Finnish Butterfly Ventures and Capital A Partners from the USA. Both companies already have two early stage venture funds under management. The management team of Butterfly Venture Fund III consists of Matti Kanninen, Ville Heikkinen and Juho Risku, as well as Tanya Marvin-Horowitz (USA/Sweden) and David Mendez (USA).

The fund invests mainly in Finnish early stage companies. The fund seeks to invest in companies whose product and service innovations typically combine hardware and software as entities that support each other. One of the fund’s priority areas, are companies with research background, and the management company will continue to develop interaction with universities and research institutes.

Esko Raunio, the Managing Director of Tekes Venture Capital Ltd, congratulates the fund’s management team for launching their first joint fund on the market. The goal of Tekes Venture Capital Ltd is to be an investor in venture capital funds, whose managing teams through their expertise and experience, can help early stage Finnish companies achieve strong international growth. The goal is to make 2-4 investments per year.